If a relative is a real estate agent but a free agent...?

Question

He has his EIN # and license is up to date, could he represent me as a buyer's agent.

I think I saw on HGTV a man mother represented him on the sale of his condo and purchase of his house. I guess I answered my question. Additional info would be great.

Answer 1

If he is a broker, his license is current and he states that he is a licensed Broker on the purchase contract then the answer is yes.

If he is not current with his license, and is not a Broker but an agent or Realtor and is not working under a Broker then he can not.

He won't be able to show you houses without a license, or sign the purchase contract as an agent.

He would be risking his license and could be sued by the other Broker, Agent and Seller.

Why would he want to risk all that. Plus he can not be paid a commission, Finders Fee or anything else.

Answer 2

Is he an active real estate agent ? If he is not contractually working for another agency at this time, he may not be able to legally represent you unless he has a broker license to operate independently.

Your friend needs to check his state laws to insure that he's not violating law, depending on his licensure status and what he is going to do for you.

In my state, he would violate NOTHING, since he is taking no compensation for his services. Even though he is acting as your agent, he is basically a friend. However, he could not collect any commission from anyone in such a scenario.

Answer 3

The important thing for you to remember is to use a good agent. If it is this guy then ...fine.

Talk to people that have used him and see what they have to say.

Have you ever heard that a free puppy isn't really free?

A free agent that doesn't do their job well costs a lot! If you pay to much for the house, get a bad loan or loan officer, buy in a bad area, forget to have an inspection done, or any one of hundreds of things it will cost you much more than a commission.